drug cartels econ jake

By: Jake Johnson Brock Rucinski Luke Jacobs : 

By: Jake Johnson Brock Rucinski Luke Jacobs

Cartels-: 

Cartels- A Cartel is a small group of producers of a good or service who agree to regulate supply in order to manipulate price. Cartels are illegal in the United States because they eliminate free market competition.

Drug Cartels-: 

Drug Cartels- Drug Cartels produce a large amount of Drugs, but fix the price to get the maximum profit.

Cartel Territories and Drug Routes: 

Cartel Territories and Drug Routes

Slide 6: 

Cartels occur in Oligopolies. An Oligopoly has a small number of sellers and similar products. Cartels agree on a price, the amount of product in the market, and territories. By doing this each Cartel maximizes its profit.

Slide 7: 

Products of Cartels-

Heroin: 

Heroin

Cocaine: 

Cocaine

Crack: 

Crack

Slide 11: 

The U.S. Department of Justice estimates that wholesale earnings from illicit drug sales range from $13.6 billion to $48.4 billion annually Although Mexican drug cartels, or drug trafficking organizations, have existed for several decades, they have become more powerful since the demise of Colombia's Cali and Medellínn cartels in the 1990s

Cali Drug Cartel: 

Cali Drug Cartel The Cali Cartel was started in Columbia and provided Drugs across the world. When the U.S. found out they started Operation Cornerstone which lasted 14 years and seized over 50 tons of cocaine. This operation ended in 1995 when the U.S. arrested 6 of the Cartels 7 heads.

Slide 15: 

Drug Cartels don’t advertise their product… consumers know where to find them.

Slide 17: 

Drug Cartels retain their sales by eliminating competition. When a producer tries to get into the market, the other Cartels will kill them. Examples are murder, torture, suicide bombings, or kidnapping. This market is almost impossible to get into.

Why are Cartels Bad?: 

Why are Cartels Bad? They produce substances that are very harmful to society. They kill in order to make money They eliminate free market competition

SAY NO!: 

SAY NO!